Tirupati Graphite raises oversubscribed placement for Suni acquisition
Tirupati Graphite has announced a 5-million raised in oversubscribed placement for Suni Resources. The funds which the firm described as oversubscribed, were raised through institutional and private placement of 14.2-million new ordinary shares in the company, at a price of £0.35 apiece.
“This is conditional only on admission of the fundraise shares to the standard segment of the official list of the Financial Conduct Authority and to trading on the main market of the LSE. We expect the shares to start trading on today,” said the UK-based company.
Suni Resources holds the Mozambique portfolio of graphite assets of Battery Minerals, which includes the construction initiated Montepuez Graphite Project and the advanced feasibility study stage Balama Central Graphite Project.
Binding acquisition
Tirupati had in last year entered into a binding acquisition agreement with Battery Minerals for the acquisition of Suni. The Acquisition includes all associated assets, infrastructure, permits, licenses and intellectual property on both projects. The Acquisition is also subject, amongst other things, to the mandatory shareholder approval of Battery Minerals and approval of the transaction by the Ministry of Mineral Resources and Energy in Mozambique.
According to Shishir Poddar, CEO of Tirupati Graphite, Mozambique is well-positioned to take advantage of this market boom, with mining operations already expanding across Cabo Delgado where the projects are located as well as Gaza, Manica, Maputo, Nampula, Niassa, Tete and Zambezia.
“With fast evolving opportunities as the electrification of mobility has taken off, and the world is starting its scramble for supplies of critical raw materials of which graphite is one, this is nothing short of a game-changing acquisition for us to build our arsenal and seize every opportunity coming our way to becoming a global leader in flake graphite. Strategically, the Montepuez and Balama Central deposits are world class and will add 152 million metric tonnes at 8.5% TGC of resources to our existing c.25 million tonnes of resources in Madagascar, a c.6X addition on in ground resource tonnage with a c.12X addition on the contained graphite,” said Shishir Poddar.
